LEGISLATION

Employment Agencies

The DTI has announced a further three month consultation over implementation of employment agency regulations following the publication of the latest draft. These regulations aim to protect the rights of temporary workers and facilitate movement into permanent employment. The DTI envisage that almost a quarter of a million workers will benefit from these regulations, anticipated to become law in the first half of next year.

Boardroom Pay:

Following the introduction of The Directors’ Remuneration Report Regulations 2002 (SI 2002/1986) on 1 August 2002, greater transparency will have to be provided over the levels of Directors’ pay within quoted companies. It is proposed that a report on Directors’ salaries will have to be prepared and sent to the Registrar of Companies, but only after shareholders have voted on it at the AGM. The report will include such things as details of individual Director’s pay along with justification for any increments or compensation payments made. A performance graph will also have to be included comparing the Company’s performance within its market.

Trade and Industry Secretary, Patricia Hewitt, welcomed the Regulations for the way in which Companies will now “have to justify how salaries are linked with performance”.

The Report will be required at the Year End for all quoted Companies, from 31 December 2002 onwards.

Tele-Workers

On 16 July 2002 an agreement was signed between representatives of Employers and Trade Unions to provide greater security for the estimated four and a half million European Tele-Workers whilst at the same time preserving business flexibility. Executed by ETUC, UBICE/UEAPME and CEEP, the Agreement provides a definition of Tele-Workers and provides a raft of working conditions.

The Agreement is to be implemented within the next three years following which National Reports will be produced which will be incorporated/published within a European Report.